Mortgage rates have improved for the past 48 hours gaining ground.  The House of Representatives approved the tax cuts BUT please pay attention what may happen.  The tax cuts include unemployment benefits, cuts Social Security for 1 year, tax cuts for working families and college students.  The money to fund these cuts increases the current US Debt. 

To offset the US growing debt, bonds are issued.  Right now looking at a simple fact of supply and demand, what happens when too much supply is on the market?  You will need to increase the yields on this supply to attract the demand.  When yields are increased, consumer mortgage rates also increase.